TAILIEUCHUNG - techniques_of_tape_reading_10

Tham khảo tài liệu 'techniques_of_tape_reading_10', tài chính - ngân hàng, tài chính doanh nghiệp phục vụ nhu cầu học tập, nghiên cứu và làm việc hiệu quả | 230 Intraday Lett 8RCM-BROADCOM CORP A 1 -Min Bar Volume MA P 20 FIGURE EX26 Open-low break setup. RealTick graphics are used with permission of Townsend Analytics Ltd. PART THREE Practical Examples 231 ing shares into that round of selling was perfectly valid too. I felt that I had the overall trend with me that I had BRCM action with me and that it was worth holding on another quarter of my shares for movement under 42. I then had a quarter of my shares left. It was now time to make a confidence level. This is different from a trailing stop which means that if you hit the stop-loss level that the trade is exited at take the stop. A confidence level means that if you hit the confidence level you re less confident in seeing better prices in the prevailing trend. I judged the confidence level based on retracements. You can see how BRCM held at above 42 and went to before backing off again. If we were to go over we would show a higher high and I d be less convinced that we would see a lower low. So instead of taking a stop here I used the next round of selling under and my stop was at breakeven. Then I tried to get a better fill somewhere under for the remaining shares. The risk is that you get a breakeven stop. The reward is that you get a better price under the confidence level for more profit. This is your decision. You can see how this level held well enough to give us a move at under 42 which is what I wanted for the remaining quarter of my position. The tape-reading principle of faster selling is shown on the chart at the circle the one with the vertical price bar that is labeled 3. On the volume chart you can see the volume spike to the sell side. These two things combine to say to cover it all. My target profits were met. I had confirmation according to tapereading principles so I took my profits and moved on. And by doing so I missed out on nearly 1 point more in potential. Do I care I don t. I played the trade as well as I could .

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